196.18 History History: 1983 a. 53.
196.19 196.19 Publish schedules; regulations; files; joint rates.
196.19(1)(1) Each public utility shall file with the commission schedules showing all rates, tolls and charges which it has established and which are in force at the time for any service performed by it within the state, or for any service in connection therewith or performed by any public utility controlled or operated by it. The rates, tolls and charges shown on such schedules may not be changed except as provided under this chapter.
196.19(1m) (1m)
196.19(1m)(a)(a) In this subsection, "new telecommunications service" means services that are not offered by the telecommunications utility before January 1, 1994, and alternative rate structures offered after December 31, 1993, for any telecommunications service that is offered before January 1, 1994, if the rate structure effective before January 1, 1994, continues to be available to new and existing customers. "New telecommunications service" includes additional functions and features on, and technological alternatives to, any telecommunications service offered before January 1, 1994.
196.19(1m)(b) (b) A telecommunications utility may not offer a new telecommunications service to the public without first filing a tariff for that offering with the commission. A proposed tariff offering a new telecommunications service shall be effective on the date specified in the tariff but not earlier than 10 days after the date on which the tariff is filed with the commission, unless the commission, either upon complaint or upon its own motion, suspends the operation of the new tariff by serving written notice of the suspension on the telecommunications utility within 10 days after the date of filing. The notice shall include a statement of the reason under par. (c) upon which the commission believes the tariff may be modified.
196.19(1m)(c) (c) The commission may modify a tariff under par. (b) if the commission finds, after an opportunity for a hearing, that the new telecommunications service violates s. 196.204, 196.209 or 196.219 or is otherwise adverse to the quality of basic local exchange service, business access line and usage service within a local calling area or access service.
196.19(1m)(d) (d) If the commission does not conduct a hearing under this subsection, the commission shall issue its final order within 60 days after issuing the notice of suspension. If the commission conducts a hearing, the commission shall issue its final order within 120 days after issuing the notice of suspension. If a final order is not issued within the time limits specified in this paragraph, the tariff becomes effective as filed.
196.19(1m)(e) (e) The commission, upon application of the telecommunications utility, may direct that the tariff for a new telecommunications service be made effective after a shorter time period than the period in par. (b).
196.19(2) (2) Every public utility shall file with and as a part of such schedule all rules and regulations that, in the judgment of the commission, in any manner affect the service or product, or the rates charged or to be charged for any service or product, as well as any contracts, agreements or arrangements relating to the service or product or the rates to be charged for any service or product to which the schedule is applicable as the commission may by general or special order direct.
196.19(3) (3) A copy of as much of the schedules filed under sub. (1) as the commission determines necessary for the use of the public shall be printed in plain type, and kept on file in every public utility station or office where payments are made by consumers in a form and place readily accessible to the public.
196.19(4) (4) If a schedule of joint rates or charges is in force between public utilities, the schedule shall be printed and filed with the commission under sub. (1). The commission shall determine the portion of the schedule necessary for the use of the public. The public utilities shall file the portion of the schedule under sub. (3).
196.19(5) (5) If telecommunications utilities are furnishing joint telecommunications service to the public, or are required to furnish the service, and refuse or neglect to establish joint tolls, the commission, after notice and a public hearing, may establish by order the joint tolls. If the utilities fail to agree upon the apportionment of the joint tolls within 20 days after service of the order, the commission, upon a like hearing, may issue a supplemental order determining the apportionment of such joint tolls. The supplemental order shall take effect as part of the original order.
196.19(6) (6) The commission may prescribe the form in which any schedule is issued under this section by any public utility.
196.19 History History: 1983 a. 53 ss. 28, 35; 1985 a. 297; 1993 a. 496.
196.193 196.193 Water and sewer rate increases without hearings.
196.193(1)(1) When permitted. The commission may grant a rate increase to a municipally owned water or a municipally owned combined water and sewer public utility without a hearing if all of the following conditions are met:
196.193(1)(a) (a) The revenue increase is calculated by multiplying the utility's prior year's revenues from sales of utility service by the rate increase factor under sub. (2).
196.193(1)(b) (b) The revenue increase under par. (a), combined with the prior year's net operating income, either results in an overall rate of return that does not exceed the rate of return determined by the commission under sub. (3) or results in an amount that does not exceed 6% of the utility's prior year's total operation and maintenance expenses.
196.193(1)(c) (c) The utility will increase its rates for general service, wholesale service and public fire protection uniformly for all utility customers by the rate increase factor determined by the commission under sub. (2), unless the commission determines that the utility has good cause for not meeting the condition under this paragraph.
196.193(1)(d) (d) The effective date of the rate increase is not less than 12 months from the effective date of an increase previously filed under this section nor less than 45 days from the date on which the application was filed.
196.193(1)(e) (e) If the utility's rates in effect prior to the rate increase under this section were authorized pursuant to a hearing under s. 196.20, the rates have been in effect for a calendar year.
196.193(1)(f) (f) The commission has not rejected the application for good cause.
196.193(1)(g) (g) If the utility has 4,000 or more customers, the effective date of the rate increase is not more than 5 years from the effective date of an increase authorized pursuant to a hearing under s. 196.20.
196.193(1)(h) (h) If the utility has less than 4,000 customers, the total of all prior rate increases granted since the last hearing under s. 196.20 does not result in rates that are more than 40% higher than the base rates previously authorized by a hearing under s. 196.20.
196.193(2) (2)Determination of the rate increase factor. Not later than March 1 annually, the commission shall set an increase factor to apply to rates of municipally owned water public utilities or municipally owned combined water and sewer public utilities. The factor shall be equal to the U.S. consumer price index for all urban consumers, U.S. city average, for the previous year; however, the factor may not be less than 3% nor more than 10%. The rate increase factor need not be defined by rule.
196.193(3) (3)Determination of an overall rate of return. Not later than March 1 annually, the commission shall set the overall rate of return to be applicable to municipally owned water public utilities or municipally owned combined water and sewer public utilities for rate increases under this section. The overall rate of return shall be equal to the simple average, rounded to the nearest tenth of 1%, of the interest rates listed for state and local bonds in the Federal Reserve Statistical Release H.15 (519) published by the federal reserve board, for the last quarter of the prior year, plus 2%. The overall rate of return need not be defined by rule.
196.193(4) (4)Notice requirements. A utility seeking an increase in rates under this section shall notify all customers, upon a form approved by the commission, by newspaper publication or by mail. The utility shall include a copy of the issued notice in its filing of an application under this section. The notice shall include all of the following:
196.193(4)(a) (a) The anticipated date of filing of the rate increase application and the anticipated effective date of the rate increase.
196.193(4)(b) (b) The impact on customer bills resulting from the rate increase calculated for at least 5 different usage levels, including an average residential usage level.
196.193(4)(c) (c) A statement that the increase is being proposed under this section and that no hearing is required.
196.193(4)(d) (d) Other information required by the commission to be included in a notice under this subsection.
196.193 History History: 1995 a. 363.
196.194 196.194 Public utility individual contracts.
196.194(1) (1)Telecommunications utilities. Except as provided in this subsection, nothing in this chapter prohibits the commission from approving the filing of a tariff which permits a telecommunications utility to enter into an individual contract with an individual customer if substitute telecommunications services are available to customers or potential customers of the telecommunications utility and the absence of such a tariff will cause the telecommunications utility to be disadvantaged in competing for business. A tariff filed under this subsection shall include the condition that any such contract shall be compensatory as determined under s. 196.204 (5) and (6). The tariff shall include any other condition and procedure required by the commission in the public interest. Within 20 days after a contract authorized under this subsection or an amendment to such a contract has been executed, the telecommunications utility shall submit to the commission written notice of the general nature of the contract and the parties to the contract. Upon request, the commission shall inform a person, or direct that the person be informed, that notice has been received by the commission of execution of a contract under this subsection. Within 6 months after receiving substantial evidence that a contract may be noncompensatory, or upon its own motion, the commission shall investigate and determine whether the contract is compensatory. If the commission determines that the contract is noncompensatory, the commission may make appropriate adjustments in the rates or tariffs of the telecommunications utility that has entered into the contract, in addition to other remedies under this chapter. The dollar amount of the adjustment may not be less than the amount by which the contract was found to be noncompensatory.
196.194(2) (2)Gas utilities. Nothing in ss. 196.03, 196.19, 196.20, 196.21, 196.22, 196.37, 196.60, 196.604 and 196.625 prohibits the commission from approving the filing of a tariff which permits a gas utility to enter into an individual contract with an individual customer if the term of the contract is no more than 5 years, or a longer period approved by the commission, and if the commission determines that substitute gas services are available to customers or potential customers of the gas utility and the absence of such a tariff will cause the gas utility to be disadvantaged in competing for business. A tariff filed under this subsection shall include the condition that any such contract shall be compensatory. The tariff shall include any other condition and procedure required by the commission in the public interest. Within 20 days after a contract authorized under this subsection or an amendment to such a contract has been executed, the gas utility shall submit the contract to the commission. The commission shall give notice to any person, upon request, that a contract authorized under this subsection has been received by the commission. The notice shall identify the gas utility that has entered into the contract. Within 6 months after receiving substantial evidence that a contract may be noncompensatory, or upon its own motion, the commission shall investigate and determine whether the contract is compensatory. If the commission determines that the contract is noncompensatory, the commission may make appropriate adjustments in the rates or tariffs of the gas utility that has entered into the contract, in addition to other remedies under this chapter. The dollar amount of the adjustment may not be less than the amount by which the contract was found to be noncompensatory.
196.194 History History: 1985 a. 297; 1993 a. 211, 496; 1995 a. 317; 1997 a. 90.
196.194 Annotation Section protects ratepayers not competitors. MCI Telecommunications v. Pub. Serv. Corp., 164 W (2d) 489, 476 NW (2d) 575 (Ct. App. 1991).
196.195 196.195 Partial deregulation of competitive telecommunications services.
196.195(1) (1)Regulation imposed. Except as provided in this section and ss. 196.202, 196.203, 196.215 and 196.219, a telecommunications utility is subject to every applicable provision of this chapter and ch. 200.
196.195(2) (2)Hearing on partial deregulation.
196.195(2)(a)(a) Except as provided under par. (b), in response to a petition from any interested person or upon its own motion, the commission may hold a hearing to determine whether effective competition exists in a market for a telecommunications service which competition justifies a lesser degree of regulation by suspending the application of one or more provisions of law under sub. (5) and whether competition under a lesser degree of regulation in that market will serve the public interest. In making this determination, the commission shall consider factors including:
196.195(2)(a)1. 1. The number and size of telecommunications utilities or other persons providing the same, equivalent or substitutable service in the relevant market.
196.195(2)(a)2. 2. The extent to which the same, equivalent or substitutable service is available in the relevant market.
196.195(2)(a)3. 3. The ability of customers in the relevant market to obtain the same, equivalent or substitutable services at comparable rates, terms and conditions.
196.195(2)(a)4. 4. The ability of telecommunications utilities or other persons to make the same, equivalent or substitutable service readily available in the relevant market at comparable rates, terms and conditions.
196.195(2)(a)5. 5. The relevant market power of each telecommunications utility or other person providing the same, equivalent or substitutable service in the relevant market and any apparent trends in how the market power of each telecommunications utility may change in the future.
196.195(2)(a)6. 6. Any affiliation of any telecommunications utility providing the service in the relevant market which may affect competition.
196.195(2)(a)7. 7. The existence of any significant barrier to the entry or exit of a provider of the service in the relevant market.
196.195(2)(b) (b) If the commission suspends the application of any provision of law for any telecommunications utility, the commission, upon its own motion or in response to a petition from any interested person, may waive the hearing required under par. (a), with notice to all known interested parties, for any similarly situated telecommunications utility which is providing the same, equivalent or substitutable service in the same market and which requests a waiver of the same provision of law for the service, if the waiver is in the public interest.
196.195(3) (3)Levels of regulation. If after the proceeding under sub. (2) the commission has determined that effective competition exists in a market for a telecommunications service that justifies lesser regulation, the commission shall establish the level of regulation for telecommunications utilities providing the service in that market as follows:
196.195(3)(a) (a) The level of regulation imposed upon all telecommunications utilities providing the service in that market shall be equal unless the commission finds that the public interest requires that different regulatory requirements be imposed.
196.195(3)(b) (b) The level of regulation imposed upon all telecommunications utilities providing the service in that market shall be the amount of regulation which does not hinder competition and is consistent with protecting the public interest.
196.195(4) (4)Findings of fact.
196.195(4)(a)(a) Except as provided in par. (b), the commission shall issue written findings of fact on each of the factors specified in sub. (2) (a) 1. to 7. and on any other factors considered by the commission in making the following determinations:
196.195(4)(a)1. 1. Whether effective competition exists in the market for the telecommunications service that justifies lesser regulation.
196.195(4)(a)2. 2. The level of regulation to be imposed upon each telecommunications utility providing the service in that market.
196.195(4)(a)3. 3. The different regulatory requirements, if any, determined for each telecommunications utility providing the service in the market.
196.195(4)(a)4. 4. The provisions of law to be suspended, if any, under sub. (5).
196.195(4)(b) (b) If the commission conducts more than one hearing under sub. (2) on the same telecommunications service or the same market, the commission may, if appropriate and if no new finding of fact is required, rely on a finding of fact made under par. (a) in a prior hearing.
196.195(5) (5)Commission action. If after the proceedings under subs. (2), (3) and (4) the commission has determined that effective competition exists in the market for the telecommunications service which justifies a lesser degree of regulation and that lesser regulation in that market will serve the public interest, the commission may, by order, suspend any of the following provisions of law, except as provided under subs. (7) and (8): ch. 200 and s. 196.02 (2); s. 196.05; s. 196.06; s. 196.07; s. 196.09; s. 196.10; s. 196.12; s. 196.13 (2); s. 196.19; tariffing requirements under s. 196.194; s. 196.196 (1) or (5); s. 196.20; s. 196.204 (7); s. 196.21; s. 196.22; s. 196.26; s. 196.28; s. 196.37; s. 196.49; s. 196.52; s. 196.58; s. 196.60; s. 196.604; s. 196.77; s. 196.78; s. 196.79; and s. 196.805.
196.195(7) (7)Conditions on deregulation. If the commission suspends the application of any provision of law to a telecommunications utility under sub. (5), it may require the telecommunications utility to comply with any condition reasonably necessary to protect the public interest because of the suspended application.
196.195(8) (8)Records for commission review. The commission may suspend the application of a provision of law relating to an accounting or reporting requirement under sub. (5) only if, with consideration given to any conditions imposed under sub. (7), the commission determines that it will have enough information to determine whether the suspension of the application of any provision of law under sub. (5) is justified at any time after the suspension is ordered.
196.195(10) (10)Revocation of deregulation. If necessary to protect the public interest, the commission, at any time by order, may revoke its order to suspend the applicability of any provision of law suspended under sub. (5).
196.195(12) (12)Incentive regulation for telecommunications utilities.
196.195(12)(a)(a) To provide incentives for telecommunications utilities to achieve any of the goals listed in par. (b) 1. a., the commission may suspend any of the provisions listed in sub. (5) except ss. 196.19, 196.20 (1m), 196.22, 196.26, 196.37, 196.60 and 196.604 or may approve a regulatory method alternative to traditional rate-of-return regulation that does not require suspension of any provisions listed in sub. (5).
196.195(12)(b)1.1. Except as provided in subd. 2., after opportunity for hearing, the commission shall determine whether it is in the public interest to suspend any of the provisions identified in par. (a) or to approve an alternative regulatory method. In making this determination, the commission shall identify all of the following:
196.195(12)(b)1.a. a. The goals to be achieved, which may include promoting competition, infrastructure deployment, economic development, consumer choice, productivity, efficiency, quality of life, societal goals or universal service.
196.195(12)(b)1.b. b. The authorized incentive and how the incentive is expected to help achieve the identified goals.
196.195(12)(b)1.c. c. The measurement to be used to evaluate successful attainment of the identified goals.
196.195(12)(b)1.d. d. The extent to which a telecommunications utility has contributed to the Wisconsin advanced telecommunications foundation established under s. 14.28.
196.195(12)(b)2. 2. If the commission suspends the application of any provision identified in par. (a) or approves an alternative regulatory method for any telecommunications utility, the commission may waive the hearing opportunity required under subd. 1., with notice to all known interested parties, for any similarly situated telecommunications utility, if the waiver is in the public interest.
196.195(12)(b)3. 3. The commission shall regulate telecommunications utilities with the goal of developing alternative forms of regulation. The commission shall, by order, develop and approve an incentive regulatory plan for each telecommunications utility to implement this subdivision. The commission may not increase regulation of a small telecommunications utility in implementing this subdivision. For telecommunications utilities with more than 150,000 access lines in use in this state, s. 196.196 (2) applies to access service rates in any regulatory plan approved under this subdivision.
196.195(12)(c) (c) Subsections (7), (8) and (10) apply to a proceeding under this subsection.
196.195(12)(d)1.1. If after 10 days' written notice and opportunity for interested persons to comment the commission finds that a telecommunications utility has adequately demonstrated that a telecommunications service which it offers and which is subject to the jurisdiction of the commission is subject to competition that may justify a lesser degree of regulation under sub. (5) and that it may be materially disadvantaged in such competition without commission authorization under this paragraph, the commission, prior to a determination under sub. (5), may authorize the telecommunications utility to provide the telecommunications service under a tariff which specifies a range of rates which may be charged for the service or may authorize the telecommunications utility to file a price list for the service which is effective upon at least 10 days' written notice to affected consumers.
196.195(12)(d)2. 2. If the commission authorizes a telecommunications utility to provide a service under subd. 1., the telecommunications utility may not provide the service at a price which does not recover total service long-run incremental cost.
196.195(12)(d)3. 3. The commission may investigate the price of any service authorized under subd. 1. to assure that the price complies with subd. 2. and may suspend any price which does not comply with subd. 2.
196.195(12)(d)4. 4. A request for authorization under subd. 1. constitutes a request for a hearing on partial deregulation under sub. (2). An order granting such authorization expires on the first day of the 9th month following its issuance or upon the date of the commission order granting or denying suspension of any provision of law under sub. (5), whichever is earlier, unless extended by the commission for good cause pending issuance of a final order.
196.195(12)(e) (e) If under this subsection the commission authorizes a telecommunications utility to provide a telecommunications service under a tariff that specifies a range of rates which may be charged for the service or authorizes the telecommunications utility to file a price list for the service which is effective after a minimum period of notice to affected customers, the telecommunications utility may not provide the service at a price which does not recover total service long-run incremental cost.
196.195 History History: 1985 a. 297; 1987 a. 403 s. 256; 1993 a. 496; 1997 a. 140.
196.196 196.196 Telecommunications utility price regulation.
196.196(1)(1)Price regulation of basic local exchange services.
196.196(1)(a)1.1. This subsection governs rates for basic local exchange service, standard business access lines and usage by small businesses with no more than 3 access lines and basic message telecommunications service and any changes in those rates for telecommunications utilities electing to be price regulated. A telecommunications utility shall elect to become a price-regulated utility by filing a written election with the commission.
196.196(1)(a)2. 2. The commission may include, following notice and opportunity for hearing, as part of the services subject to price regulation under this subsection all of the following:
196.196(1)(a)2.a. a. Those services and technological features found by the commission to be a necessary component of universal service under s. 196.218.
196.196(1)(a)2.b. b. Advanced telecommunications services, if the commission finds that the advanced telecommunications service is essential to the public interest; that the advanced telecommunications service, or reasonably equivalent service, is not available at reasonable prices and terms and conditions from alternative providers; and that price regulation of the advanced telecommunications service is essential to the public interest.
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